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http://www.sunherald.com/2015/06/19/6285014/appeals-court-lets-z-street-lawsuit.html
The IRS wanted the suit dismissed for reasons including sovereign immunity and the Anti-Injunction Act, which prohibits suits to restrain the assessment or collection of any tax. A trial judge rejected the IRS’s reasoning, as did, on Friday, the D.C. Circuit.
“Z Street seeks not to restrain ‘the assessment or collection’ of a tax, but rather to obtain relief from unconstitutional delay, the effects of which it is now suffering.” Judge David Tatel observed.
It applied for a section 501(c)(3) tax exemption. Based on a conversation its lawyer had with an IRS agent, Z Street alleges the agency hasan “Israel Special Policy” under which applications from organizations holding “political views inconsistent with those espoused by the Obama administration” receive increased scrutiny and longer processing times.
The IRS wanted the suit dismissed for reasons including sovereign immunity and the Anti-Injunction Act, which prohibits suits to restrain the assessment or collection of any tax. A trial judge rejected the IRS’s reasoning, as did, on Friday, the D.C. Circuit.
“Z Street seeks not to restrain ‘the assessment or collection’ of a tax, but rather to obtain relief from unconstitutional delay, the effects of which it is now suffering.” Judge David Tatel observed.
It applied for a section 501(c)(3) tax exemption. Based on a conversation its lawyer had with an IRS agent, Z Street alleges the agency hasan “Israel Special Policy” under which applications from organizations holding “political views inconsistent with those espoused by the Obama administration” receive increased scrutiny and longer processing times.